Mortgage lending is a convenient and fast way to buy a house or room.

At first glance, applying for this type of loan is quite simple, but a mortgage has many pitfalls: the requirements for borrowers, apartment, building, income level and age of the bank client are quite high.

In addition, property assessment and insurance of the loaned person are required.

What is this form of lending?

Mortgage is a type of lending for the purchase of real estate, in which the latter acts as collateral to the creditor. The borrower is given a sum of money in the form of a loan.

He undertakes to repay it regularly in installments along with interest, and real estate - an apartment, a private house, a car, a plot of land - serves as a guarantee of payments.

In conditions of consistently high housing prices, a mortgage is almost the only way to purchase an apartment or house for many Russian citizens. The term of such a loan is high: issued for 5, 10, 20 or more years.

In this case, during the registration process you will have to contact not only, but also other organizations: insurance, appraisal.

Mortgage lending has undoubted advantages for the borrower:

There are also disadvantages:

1. Overpayment. Using borrowed funds is a paid service. And the longer the term of this “rent”, the more you will have to overpay in the end.
2. Commissions, fines, penalties, additional payments.
3. A fairly large package of documents for obtaining a loan.
4. Most banks require a down payment to obtain a mortgage.

Conditions for obtaining a loan

Mortgage terms vary depending on the mortgage, but in general they are as follows:

Life, disability, health, and mortgage insurance are mandatory.

The real estate itself must be assessed by independent experts. The costs are borne by the borrower.

Requirements for borrowers

Any citizen who meets the requirements established by the bank can obtain a mortgage without any problems:

Ideally, the borrower should have the following characteristics:

1. The applicant has his own funds to make the down payment.
2. Salary (or other official income) is higher than the monthly payment at least 2 times.
3. A mortgage is issued for a secondary market apartment in a new building.
4. The borrower has other valuable property: a car, an apartment,...
5. The applicant has a complete family with no large number of dependents, and both spouses are officially employed.
6. Official length of service at one (last) place of work more than 2–3 years.
7. There are guarantors who can document their solvency.
8. There are no other outstanding loans or MFI loans.

What kind of housing can be purchased under this program?

The main requirement for real estate that is purchased with a mortgage is its profitability. It is important because it acts as collateral and in case of non-repayment the bank will be forced to sell it.

Therefore, the requirements for apartments and houses with a mortgage are as follows:

The bank pays special attention condition of the apartment. Difficulties may arise if the housing is located in barracks-type houses, communal apartments, or old buildings. The best option would be an apartment in a new building.

Many banks can refuse a mortgage if the housing purchased with borrowed funds is located in a building built before 1957.

The apartment building itself or an ordinary building also has certain requirements:

1. If we are talking about a wooden or garden house, it must be built no earlier than 1990.
2. The number of floors of an apartment building is at least 4 floors, or less if it was built after 1991.
3. The house is not registered for major repairs, is not in disrepair and is not subject to demolition or reconstruction.
4. Wooden houses, garden houses, as well as buildings and buildings with wooden floors can rarely become the subject of a mortgage - a positive response from the appraiser about the condition of the house will be required.
5. The foundation of the house must be made of brick, concrete or stone.

Legal status of purchased housing

Immediately after purchasing an apartment or house with a mortgage the borrower acquires legal title to the property. However, when a certificate is issued in Rosreestr, an encumbrance in the form is imposed on the property.

Until the date of full repayment of the debt, the following actions cannot be carried out with the apartment:

Theoretically, these operations are feasible: it is necessary obtaining written consent of the mortgagee bank. But in practice, they rarely meet borrowers halfway in this matter, since the risk of non-repayment of the debt increases.

It is necessary to register with Rosreestr:

• mortgage agreement;
• collateral agreement.

If we talk about an apartment in a building under construction (), such a mortgage is even more risky for the bank. Interest rates for such loans are always too high.

The borrower becomes the owner only after the house is put into operation, and the bank becomes the mortgagee. Until this moment, there is no guarantee of repayment from the lender, since there is actually no apartment.

Special programs

Most large banks offer borrowers special loan terms depending on the client’s status, which are issued under special mortgage lending programs.

Mortgage for military personnel

Those who serve under a contract concluded can participate in this type of mortgage. after 2005. In this case, a storage system is used.

After submitting an application at the end of the year, a fixed amount in rubles is transferred to the military’s special account. Facilities have a purpose– purchase of housing in any city of the Russian Federation.

If these funds are not enough, you can take out a mortgage or use your own savings.

The capital has a similar program for those military personnel who have been sent to the reserves but have served for at least a decade. They are issued certificates equal in value to an apartment, which must be used within 9 months (previously six months).

State program “Affordable housing for young families”

As part of the program, a loan is provided to young (up to 35 years old) parents of one or more children or just a married couple. This mortgage can be used just one time.

Registration is mandatory for citizens in need of improved living conditions.

There are also additional requirements:

• the number of square meters per person in a family should be less than the norm;
• housing may be considered unsafe;
• the income level must correspond, and so on.

“Building Together” program

This mortgage program is based on providing a bank loan for the construction of a private house.

A mutual fund is created and borrowers contribute funds. As soon as it's going from 30 to 60% the required amount, the construction cooperative adds the missing part and begins to draw up documents.

Housing becomes the key to housing cooperatives. The loan is issued for 15–20 years.

Mortgages in the Russian Federation are gaining momentum. More than a million families have already been able to acquire their own apartments and houses with its help. new programs are offered, simplify the procedure for collecting documents and submitting an application, offer low interest rates and additional bonuses.

Video: What is mortgage lending in Russia?

The video explains what mortgage loans issued by banks in Russia are.

The most popular myths regarding the purchase of housing with a mortgage are debunked. Advice is given on how to minimize the risks when applying for such a loan and getting into a debt hole.

The concept of “mortgage” thoroughly entered our lives about ten years ago. Almost everyone is familiar with the operating principles, pros and cons of this type of lending. But few people know the history of the origin and meaning of the word.

Concept

A mortgage is collateral that remains the property of the borrower. If the debtor fails to fulfill the required obligations, the property may be sold by a banking institution.

It is worth considering that the concepts of mortgage and mortgage loan are significantly different.

Mortgage lending is the issuance of funds for the purchase of real estate secured by the debtor's property, which subsequently acts as a guarantor in the event of non-payment of obligations by the borrower.

The system works quite simply:

1. The client takes the necessary amount of money from the bank in order to purchase real estate as collateral.
2. When the loan obligation is fully repaid, the collateral from the property is removed, and the house, apartment or car becomes the full possession of the borrower.

If a bank client cannot repay the debt, the property is put up for sale, and the income from its sale covers the debt under the loan agreement.

To obtain a mortgage loan, banking institutions require the following documents:

• completed application form (issued by the bank);
• application for a loan (it is possible to submit an application online);
• Passport (copy);
• SNILS (copy);
• TIN (copy);
• a copy of the marriage/divorce/birth certificate;
• copies of education documents (certificate, diploma, etc.);
• copies of completed pages of the work book;
• military ID copy (if the borrower is of military age);
• salary certificate 2 personal income tax;
• any documents reflecting additional earnings or income.

In most banks, the above documents are sufficient, but depending on the individual case and the terms of the loan, the institution’s employees may require additional information.

The role of mortgages in accessible language

Massive use of credit services among the population has a positive effect on the development of the country's economy. But conventional lending can create risks of non-payment, and the use of collateral provides good guarantees.

In addition to the interests of the state, the needs of the population are no less priority. Real estate is prone to a sharp rise in price, so purchasing it through savings is extremely problematic. For this reason, paying off the borrowed debt in installments is one of the best options. Of course, there is a risk of losing value, but it is unknown how inflation will behave during the time it takes to accumulate funds to make a large purchase.

History of mortgage

According to ancient history, the concept of mortgage appeared in Greece in the distant 6th century BC, and was introduced into use by the politician Solon. The program worked on the principle in which the borrower acted as collateral in his own person, that is, if he did not repay the debt, he fell into slavery to the creditor.

Subsequently, to change the system, Solon proposed using movable and immovable property of citizens as collateral. The transaction was certified by installing pillars on the debtor's land plot with the terms and amount of the transaction. That is why the meaning of the word mortgage translated from the Greek (ancient Greek) language “hypotheka” means “foundation”, “support” or “column”. Then the process continued to develop in other countries, and the pillars were replaced with books in which all related records were kept.

In Russia, the first noble bank that began providing secured loans opened in 1754, and already in 1870 there were about 11 financial institutions operating in the country.

Briefly speaking about the origin of the word mortgage, it dates back to the times of Ancient Greece and means a “pillar” that was located on the debtor’s land plot and served to display information about the collateral and the terms of the loan.

The Soviet system did not want to accept mortgages, and this is proven by the interpretation of the definition. The term mortgage first appeared in the USSR on the pages of an explanatory dictionary, and meant a loan in cash equivalent, which is issued by capitalist banks secured by land, structures and buildings. The definition sounded something like this: “Mortgage is a weapon for ruining peasants of medium and low income.”

After the Great Patriotic War, active urban development began, and although the fact of the presence of a mortgage was masterfully veiled, these moments can be traced.

After 1990, commercial banks began to actively appear providing various loans to the population, and with them the mortgage system developed. The shortage has passed, many new goods have appeared, respectively, supply and demand are growing, but incomes cannot keep up. Loans come to the rescue, and banks prosper accordingly.

What is a home mortgage in simple words? The bottom line is that the bank pays the buyer for the purchased property, and the owner (buyer) must repay the debt in certain installments over a specified period of time. Moreover, the bank takes a repayment guarantor in the form of the debtor’s collateral property.

Meaning of the word "mortgage"

Mortgage in Ozhegov’s explanatory dictionary has several designations, such as a pledge of real estate or a loan issued against this pledge.

The description of a mortgage on Wikipedia is not very different from the standard one and describes it as a form of collateral that belongs to the debtor, and the creditor has the right to receive it only if the borrowers fail to pay their financial obligations.

Mortgage in English mortage characterizes a mortgage or loan.

In France, mortgage lending was started in 1852 by the CCF (Credit Foncier de France) bank. Translation of mortgage from the French word hypothèque.

How do you spell

The word “mortgage” in Russian has no spelling rules, as it is a dictionary type. For a correct guideline, you should start from the Greek “hypotheka” with an emphasis on the letter “o”, but it’s easier to just remember it in order to avoid mistakes.

Let's look at sentences with the word "mortgage" in correct use.

1. Mortgage is one of the priority types in lending.
2. There is a decline in housing construction due to a sharp increase in mortgage interest rates.
3. It is necessary to contact the bank for information about possible mortgage programs.
4. The borrower agrees to all terms and conditions of the mortgage, including a commission rate of 0.6% monthly.

Despite the fact that during the Soviet era, mortgages were perceived as an unfavorable system introduced by capitalist countries, today it is a serious assistance to citizens for their families in purchasing their own real estate or housing.

But lending is impossible without seriously ensuring the interests of the lender. The evolution of credit development has shown that the most effective interests of the creditor can be protected through the use of real estate collateral, because the:

• real estate is relatively little exposed to the risk of death or sudden disappearance;
• the value of real estate tends to constantly increase;
• the high cost of real estate and the risk of loss are a powerful incentive that encourages the debtor to accurately and timely fulfill his obligations to the creditor.

One of the tools for protecting the interests of creditors through the use of real estate collateral was a mortgage.

Mortgage - concept and essence

The term "mortgage" in legal terms usually covers two concepts:

Mortgage as a legal relationship is a pledge of real estate (land, fixed assets, buildings, housing) for the purpose of obtaining a loan.

Mortgage as a security- implies: a debt instrument certifying the rights of the mortgagee to real estate.

Mortgage credit lending is lending secured by real estate, that is, lending using a mortgage as security for the repayment of loan funds.

If the loan is not repaid, the lender becomes the owner of the property. Thus, a mortgage is a special form of loan security.

Features of mortgage lending:

• a mortgage is a pledge of property;

• long-term nature of the mortgage loan (20 - 30 years);
• the pledged property remains, as a rule, with the debtor for the duration of the mortgage;
• Only the property that belongs to the pledgor by right of ownership or right of economic management can be pledged;
• the legislative basis for mortgage lending is the right of pledge, on the basis of which a mortgage agreement is drawn up and the sale of property transferred to the lender is carried out;
• the development of mortgage lending presupposes the presence of a developed institution for its assessment;
• Mortgage lending is carried out, as a rule, by specialized mortgage banks.

Participants in the mortgage lending system:

• The mortgagor is an individual. or a legal entity that has provided real estate as collateral to secure its debt.
• Mortgagee (mortgage lender) is a legal entity that issues loans secured by real estate.

Legal basis of mortgage lending in Russia:

1. Federal Law of the Russian Federation “On Mortgage (Pledge of Real Estate)” dated July 16, 1998;
2. Federal Law of the Russian Federation “On Valuation Activities in the Russian Federation” dated July 29, 1998.

The mortgage is subject to state registration by justice institutions in the Unified State Register of Rights to Real Estate.

Mortgages and banks

Mortgage banks - specialized banks providing long-term lending secured by real estate.

Advantages of mortgage lending for banks:

• relatively low risk when issuing loans, since they are secured by real estate;
• long-term lending frees banks from private negotiations with clients;
• mortgage loans provide the bank with a completely stable clientele;
• mortgages can be actively traded on the secondary market, which allows the bank to diversify its risk by selling the mortgage after the loan is issued.

Disadvantages of mortgage lending for banks:

• the need to keep on staff narrowly qualified professionals - appraisers of real estate, which is presented as collateral, which increases the bank’s costs;
• long-term diversion of funds;
• the long duration of the loan period is a big threat to the bank's future profits, since it is very difficult to predict the dynamics of market interest rates decades in advance.

Mortgage lending mechanism

A mortgage is a loan obtained against real estate.

The main documents for obtaining a loan, which determine the relationship between the lender and the borrower, are the loan agreement and the collateral agreement.

Loan agreement determines the purpose of obtaining a loan, the term and size of the loan, the procedure for issuing and repaying the loan, lending instruments (interest rate, conditions and frequency of its changes), loan insurance conditions, the method and form of checking the security and intended use of the loan, sanctions for misuse and late repayment loans, the amount and procedure for paying fines, the procedure for terminating the contract, additional conditions by agreement between the lender and the borrower.

Mortgage agreement determines the form, size and procedure for collateral securing the loan.

Mortgage collateral

The development of mortgages presupposes the existence of specific types of securities - mortgages and mortgage bonds.

Mortgage- this is a legal document on the mortgage (pledge) of a real estate object, which certifies the release of the object as security for loan obligations.

The object of collateral is real estate that serves as security for the borrower’s obligations. The object of lending is a specific goal. for which the loan is provided.

Thus, various combinations of the collateral object and the lending object are possible. For example: a loan for housing construction secured by land.

Mortgage lending mechanism differs significantly from the mechanism for generating credit resources in a commercial bank. In developed countries, the bank generates funds for granting loans mainly by selling mortgage sheets And own capital.

Mortgage sheets - These are long-term collateral obligations of the bank, providing reliable (or aggregate) mortgage loans on which fixed interest is paid.

Mortgage sheets are sold by mortgage banks on the secondary market to investors - other credit institutions (in some countries - to any investor).

The secondary market is the process of buying and selling mortgage securities issued in the primary market. Providing primary lenders with the opportunity to sell the primary mortgage and using the income received to provide another loan in the same market is the main task of mortgage capital.

Investments in mortgage notes are considered a reliable investment of capital, because, in addition to stable interest income, the investor is guaranteed against the risk of a mortgage. Of course, the market value of the pledged property may fall over time, but here banks can offer different hedging options (risk reduction) when selling mortgages.

By selling the mortgages, the lender uses the proceeds to provide new mortgages.

Mortgage repayment associated with the term and interest on mortgages being sold. If the term of the mortgage is 10 years, and the fixed interest rate is 6.5%, then the loan must be issued at a rate of at least 7% per annum to cover the costs of issuing mortgages and paying interest to investors. The interest rate will change depending on market conditions after 10 years if the mortgage term is longer. Repayment is carried out in installments, the interval (month, quarter, half-year, annually) is established by the loan agreement.

Mortgage Loan Scheme

Dynamics of loan balance

The role of mortgages in the economy

Mortgage lending is an integral element. Reflecting the patterns of development of the global banking industry, it is one of the priority development tools.

Mortgage and crises

Global experience shows that mortgage lending has contributed to revival, recovery, overcoming unemployment and, ultimately, way out of the crisis the United States of America - in the 30s, Canada and Germany - in the 40s-50s, Argentina and Chile - in the 70s-80s, as well as the acceleration of economic reforms in a number of countries. Certain hopes are pinned on mortgages as a tool for solving the housing problem in Russia.

Mortgage and the real sector of the economy

The development of the mortgage business has a positive impact on the functioning of industry, construction, agriculture, etc. As world practice shows, the spread of mortgage lending as an effective way to finance capital investments can help overcome the investment crisis.

Mortgage and banking system

Mortgage lending is of great importance directly for development of the banking system countries. A mortgage is the most important tool for ensuring loan repayment. A mortgage credit institution operating within the framework of the mortgage lending system is a relatively stable and profitable economic entity. Therefore, the more such credit institutions in the banking system, the more stable and effective its activities in the economic system of the country as a whole.

Mortgages and social welfare

Mortgage lending, diverting funds from current turnover into internal accumulation, to some extent helps reduceinflation.

In modern conditions, the importance of mortgages for... Residential mortgage lending contributes to providing citizens with affordable private residential property, being a powerful factor in the class of society.

The relevance of a home mortgage loan is due to the fact that its use allows us to resolve contradictions:

• between high real estate prices and current incomes of the population;
• between the monetary savings of one group of economic entities and the need for their use by another.

The absence of an institution for real estate and a mortgage in our country for 70 years has led to negative consequences - the experience of organizing mortgage lending has been largely lost, both at the level of a credit institution and at the level of the state as a whole.

If previously practically the only opportunity to improve housing conditions was to obtain public housing, today this problem is mainly solved by citizens through the purchase or construction of housing at the expense of their own savings. Limited budgetary resources have focused the state's attention on solving the housing problems of only certain groups of the population. However, the majority of them are currently unable to improve their living conditions due to lack of necessary savings.

Creation of a mortgage lending system will make the purchase of housing affordable for the majority of the population; will ensure the relationship between the monetary resources of the population, banks, financial, construction companies and construction industry enterprises, directing financial resources to the real sector of the economy.

Mortgage lending infrastructure

The effective functioning of the system of mortgage credit institutions is impossible without the presence of appropriate supporting elements (infrastructure). The specificity of mortgage lending is its close connection with valuation, insurance and registration of real estate turnover, as well as with the secondary market for mortgage loans. In this regard, the functioning of the system of mortgage institutions is impossible without the presence in the country of:

• real estate turnover registration systems;
• insurance organizations (companies);
• organizations professionally involved in assessing the value of real estate.

The developed infrastructure of the mortgage lending system ensures the efficiency of mortgage operations and increases the protection of the rights of mortgage lending entities.

The topic of mortgages is constantly on the agenda. But not everyone understands what a mortgage is, and without this knowledge you can lose not only your housing in the future, but also be left without your existing property.

Mortgage: what is it and how to get it

To the question of what it is, the answer is this: a mortgage is a form of collateral when the debtor pledges real estate owned by him. This is a guarantee of debt repayment for the lender. This is the essence and precise definition of a mortgage. Knowing what an apartment mortgage is, you must understand that if your financial situation worsens or you completely lose your solvency, you may lose your property.

You can express in simple words what a mortgage is as follows: you sign a mortgage agreement, receive money, and monthly pay the lender the amount specified in the agreement. The real estate that you pledged falls under the mortgage. The following can be provided to the bank as collateral:

• House;
• plot of land;
• dacha;
• apartment;
• other objects.

If the contract is violated by the client, the bank becomes the owner of the property and can sell it so as not to incur a loss. This scheme is the basis of the mortgage market in Russia. The main document that guides financial institutions when drawing up mortgage agreements is the law adopted in 1998. It is called “On Mortgage”.

Main characteristics of a mortgage loan:

• issuance for a long period (5-50 years);
• appointment;
• relatively low interest rates;
• executed in strict accordance with mortgage legislation.

The collateral itself belongs to the borrower, but he does not have the right to dispose of it independently. The credit institution has the authority to use it at its discretion in the event of problems with debt repayment.

Types of mortgage programs

From what you need to know about mortgages, information about the types of mortgage programs is important:

• standard;
• social;
• "Young family";
• for military personnel.

Types of standard mortgage

Banks, competing with each other, offer many programs under a variety of names, reflecting the method of obtaining a mortgage or purpose. Often, what is commonly understood as a mortgage is money provided as collateral, and it must be returned, otherwise the bank will deprive you of the collateral. The most popular types of mortgages (mortgage loans):

1. For the purchase of housing on the secondary market. This type is attractive due to its optimal interest rates, relatively short processing time, and conditions acceptable to most. It differs from other types in that it requires mandatory title insurance.
2. For real estate under construction. Housing can be purchased at the construction stage, but the developer must be approved by the bank. The interest rate here is the highest, but the housing itself is valued slightly lower.
3. To purchase a plot of land. The borrower pledges real estate of equal value to the bank, and can begin new construction on the acquired site. Until the mortgage is repaid, the financial institution has as collateral everything that the developer has built on the acquired site.
4. To build a house. You can get money on bail if a person has his own building plot. When considering an application, the belonging of the land to a specific category is taken into account. The collateral is a plot of land, housing under construction and other structures located on the land.
5. For real estate outside the city. The program provides for the purchase of a country house, townhouse or cottage. Typically, such housing is located in an environmentally friendly area, and proposals are developed by credit institutions together with developers.

Social mortgage

Low-income segments of the population who are on the waiting list for housing can count on this type of mortgage:

• young families with two or more children;
• families where a disabled person lives, registered before January 1, 2015;
• workers of culture, sports, social protection;
• veterans;
• employees of research centers with state status;
• employees of the military-industrial complex.

Social mortgage means that the state provides financial support to borrowers to fulfill their obligations to the bank.

Social loans are subsidized in several ways:

• public housing is sold at reduced prices;
• interest on the loan is subsidized;
• A subsidy is provided for part of the mortgage.

The decision to apply one form or another of social mortgages is made by regional authorities.

Mortgage for a young family

Let’s answer the question: what is a mortgage for a young family for housing in Russia? In fact, this is the same social mortgage, but is intended to provide young families with their own living space. The age limit for newlyweds to be classified in this category is up to 35 years. Here, the mortgage terms themselves are not preferential, and assistance is expressed in the provision of state subsidies and the opportunity to use maternity capital.

Newlyweds can even take advantage of a standard type of home mortgage lending. If the living space where the family is registered does not meet the minimum acceptable standards per person, then a state subsidy may be available. The amount issued varies from 30 to 35% of the standard cost of purchased square meters.

Military mortgage

Contract military personnel who are participants in a special savings mortgage lending program designed for military personnel can apply for this type of mortgage loan. What is a mortgage for the military? Within the framework of the NIS program, certain amounts are regularly received and indexed into the serviceman’s account. When the contract expires, a person can use the accumulated funds to purchase housing, paying off the down payment or part of the mortgage loan.

The mortgage is issued for a maximum of 25 years. By the end of this period, the soldier must be no more than 45 years old. The average percentage is about 12.5, the largest amount is 2,400,000 rubles.

Part of the debt can be repaid with maternity capital or through a preferential consumer loan received additionally.

Borrowing such large amounts of money is not an issue that can be resolved spontaneously. What is needed is a balanced approach, maximum responsibility and a clear understanding of what a mortgage is and how to take it out with minimal risks:

1. If you have chosen a credit institution, then collect information about it.
2. Please read all documents carefully.
3. Make photocopies or shoot documents with your mobile phone camera.
4. Come to review the contract, if not with a lawyer, then at least with a reasonable assistant.
5. Ask to immediately submit all documents that need to be signed. This way you can compare them and read them carefully.

You shouldn’t always trust the numbers printed in advertising brochures; it’s better to personally find out about the real conditions of the loan:

• compare interest rates, calculate how much the loan will cost using a mortgage calculator;
• find out if there is a possibility of early repayment and whether they will charge an additional commission for this;
• Find out what fees are charged for bank transactions;
• study all the nuances of the conditions under which insurance is carried out, whether the interest rate will increase if you refuse to insure yourself on voluntary terms;
• read the conditions under which a financial institution takes drastic measures against a borrower due to late payments.

5 main conditions for obtaining a mortgage loan

Getting a loan from a bank is not easy. Credit companies make many demands. Here are the main ones:

1. Age - starting from 21 years old on the day of receiving the loan and 65 years old at the time of full repayment.
2. Stable job - last job for at least six months.
3. Income level - its monthly amount should be 2.5 times greater than the regular monthly contribution. Not only the borrower’s earnings, but also his family’s are taken into account.
4. Confirmation of the availability of the amount required for the initial deposit. Usually this is from 10 to 30%.
5. Co-borrowers are needed when the borrower’s income does not satisfy the bank.

What you need to know when taking out a mortgage

If you intend to enter into an agreement to purchase a home on credit, you need to know about the advantages and disadvantages. There are 3 key factors for you - size, term, rate. The benefits are as follows:

1. The issue of housing or other purchase is resolved promptly.
2. Preferential mortgage agreements are economically beneficial.
3. A reliable investment, because if real estate is purchased, it tends to rise in price.

Disadvantages of a mortgage:

1. The owner has limited rights. Until the debt is repaid, he cannot do anything without the permission of the creditor.
2. A large overpayment, the initial cost of housing or other property increases almost 2 times at the time of repayment of the debt.
3. Payment of monthly installments over a long period of time.
4. Impossible, for some potential borrowers, requirements from financial institutions.
5. There is a constant threat of force majeure, in which real estate can be lost.

Having paid off the debt in full, do not forget to make sure that the bank returns the collateral to you officially in accordance with the agreement.

Is it easy to get approval

Banks do not approve a mortgage for the purchase of an apartment to everyone who applies. The housing purchased through a banking institution by the client and the person’s credit history are carefully checked.

Anyone who has had untimely repaid loans from any credit institution will not receive approval. The presence of outstanding fines or debts to the budget will also have a negative impact. It is difficult to get approval with low income. Knowing what a home mortgage is, you need to have an official source of income. Another mandatory requirement will be apartment insurance.

How to get approval on favorable terms: 3 nuances

The nuances of applying for a home mortgage in different banks are not the same. Conditions for providing a mortgage loan are also:

1. some banks provide loans on favorable terms for the purchase of housing from certain developers;
2. The mortgage interest rate will be significantly lower with a large down payment;
3. lending conditions will also be more favorable for bank clients (who receive their salaries on the card).

What documents will be needed?

When applying for a mortgage, it is important to know what it is, but it is no less important to understand what documents will be needed. The basic list of documents for obtaining a mortgage loan looks like this:

• Statement. It can be filled out either on site at a bank branch or in advance by downloading from the official website of the credit institution.
• Bank questionnaire - different banks will look different.
• A copy of the applicant’s passport (the original will need to be presented for verification).
• A copy of the TIN certificate.
• Photocopy of SNILS (certificate of pension insurance in the form of a green laminated card).
• For men of military age - a copy of the military ID.
• If the applicant is married, documents confirming this, as well as a marriage contract, if available.
• Birth certificates of children, if available.
• Documents about the applicant's education - diplomas, certificates, etc.
• Papers confirming the level of income at the place of work and from other sources - alimony, funds from the rental of real estate, financial assistance, etc.

Rarely does a bank limit itself to such a modest list. As a rule, something else is added to it that is needed for a mortgage, which means that additional papers will increase the chances of obtaining a loan.

Possible options:

• Passports of all immediate family members, death certificates for those who have already passed on to the other world.
• Copies of pension certificates and certificates of the amount of pension payments for disabled elderly relatives (parents, grandparents).
• Certificate from the passport office confirming registration at the place of residence.

Having any valuable property (other real estate, a car or other vehicle, etc.) will be a big advantage, increasing the likelihood of getting a mortgage approved for the required amount. So the already extensive list of papers should include documents confirming the right of ownership of such property - a certificate of ownership, a purchase and sale agreement, extracts from the relevant registers, etc. If you have accounts in other banks, you will need to provide statements of the movement of funds on them.

Some credit institutions may request receipts for payment of utility bills at the current place of residence to assess the client's solvency and reliability. For entrepreneurs, the list is supplemented with the statutory documents of their enterprises, accounting statements and other papers confirming that the business is profitable and developing quite steadily.

If maternity capital funds are used to make the first payment or pay part of the loan, then a certificate for it will be added to the list of documents. In addition, you will need to obtain a certificate from the Pension Fund branch indicating the balance of this capital.

Terms, interest and other nuances

When applying for a mortgage for an apartment, it is important to remember that there is an age limit for obtaining one. They will definitely not give a housing loan to someone who is under 21 years old. The age limit for those who will be approved for a mortgage varies. A mortgage loan for the purchase of a house or apartment is long-term and can be repaid over 30 years. The bank takes into account the client's provision of funds to repay obligations.

The higher the , the more favorable the repayment terms will be. When drawing up an agreement, it is important to pay attention to the order of repayment of payments and the possibility of repaying the debt ahead of schedule. The opportunity to take advantage of deferred payment and the conditions for its provision are immediately discussed.

Partial obligations to the bank can be repaid using maternity capital funds. Special conditions for providing loans to military personnel.

Thanks to government support, interest rates on purchasing an apartment in new buildings are lower than on secondary market housing. This is also worth considering. In simple terms, such a mortgage will have more favorable and attractive conditions.

You should always remember that refusal of approval from one bank does not mean that obtaining a loan from another is impossible. You can apply for approval to several banks, ultimately choosing the best option for yourself. The desire to have your own corner can become a reality. The main thing is to approach the choice wisely, armed with all the necessary information, understanding what it is - a mortgage - and how to work with it competently.

Last update: 12/30/2019

Good afternoon, dear readers of the financial magazine “site”! Today we will talk about mortgage and mortgage loan: what is it, how to calculate a mortgage online, what are the conditions for obtaining a mortgage in 2020, what mortgage lending programs are offered by leading banks.

The publication will be useful to everyone who has decided or is still thinking about such an opportunity. It would be a good idea to read the article for people who want to expand their knowledge in the field of finance. Therefore, we recommend absolutely everyone not to waste time, but to start reading!

So, from this article you will learn:

• What is a mortgage loan and what are the advantages and disadvantages of a mortgage;
• What special mortgage lending programs exist;
• What are the stages involved in obtaining a mortgage?
• Basic conditions for issuing a mortgage in Russia;
• What are the features of calculating mortgage loan payments?
• Which banks offer the best conditions;
• Who to contact for help in obtaining a mortgage.

In addition, at the end of the article, readers will find answers to the most popular questions about mortgage lending.

The publication turned out to be quite voluminous, so use the content.

We will tell you in this issue what a mortgage is, what are the conditions for obtaining a mortgage loan in leading Russian banks, how you can quickly calculate a mortgage online, as well as what mortgage programs exist.

What is a mortgage?

Mortgage- this is a special type of collateral that is designed to insure the lender against possible non-repayment of funds. In this case, the purchased property is used as collateral.

Traditionally, real estate is used in mortgages - apartment, residential building, share in the property.

When applying for a mortgage, the property right of ownership belongs to the buyer. Moreover, due to the fact that it is collateral, the lender has the right if the borrower fails to fulfill its obligations sue real estate for your benefit.

In addition, the owner does not have the right to dispose of the property at his own discretion. Without approval from the credit institution, he cannot sell or donate real estate encumbered with collateral.

1.1. The meaning of a mortgage

The main characteristic of a mortgage is pledge . Its presence is the most important condition for the existence of this economic concept.

Should be understood that the collateral can be not only the property being purchased, but also the property already owned by the borrower.

For example, banks are not always willing to agree to lending housing under construction, because ownership of it has not yet been registered. This means that it is impossible to impose a burden.

The process becomes much simpler if the potential borrower offers to register an existing apartment as collateral.

Upon completion of construction and commissioning of the property, you can sell the collateral with the permission of the bank in order to repay the loan. Another option is to maintain the encumbrance until the obligations are fully fulfilled. In this case, the borrower becomes the owner of two apartments.

Financiers understand mortgages as two economic categories: pledge of property , as well as issued under it cash loan .

In this case, we can highlight a number of signs that are characteristic of a mortgage:

1. registration is regulated by federal laws;
2. targeted nature, that is, when applying for a loan for an apartment, it will not be possible to spend money on buying anything else;
3. long loan term (up to 50 years);
4. lower interest rates compared to non-targeted loans.

Theoretically, it is possible to take out a mortgage for the purchase of other property ( For example, luxury goods), as well as payment for education and treatment. However, such programs are not popular in Russia.

1.2. History of development

Historians agree that the term mortgage happened a very long time ago - approximately 5 000 year BC.

Then in Ancient Greece a mortgage was called pillar, which was installed on the borrower’s land plot. It contained information related to the subject of the pledge. In addition, loans secured by real estate were also issued in Ancient Egypt.

In our country, mortgages in the modern sense appeared not so long ago. Purchasing apartments in became possible only at the end 90 years.

The impetus for this was the adoption in 1998 laws governing mortgages. It is he who to this day acts as the main legislative act that regulates the execution of mortgage agreements.

1.3. Advantages and disadvantages of a mortgage

For the majority of residents of our country, obtaining a mortgage is becoming the only opportunity to become the owner of an apartment today, and not in the distant future. This leads to constant demand for mortgage programs.

Experts highlight a number of benefits that borrowers receive when applying for a mortgage:

1. Purchasing your own home with maximum benefit available to those eligible to receive preferential mortgage. In Russia, young professionals, military personnel, and citizens raising more than one child can take advantage of special programs.
2. Solving housing problems as quickly as possible. Using a mortgage allows you to avoid long-term accumulation of funds for your own apartment. The need to give huge amounts of money to a stranger every month as rent payments also disappears.
3. For some, taking out a mortgage allows them to invest in real estate. Such property rarely falls in price, and in the long term the price of apartments does not stop growing. By purchasing real estate, the borrower gets the opportunity to sell it in the future at a higher cost. In this case, it will be possible not only to pay off your mortgage debt, but also to make a tangible profit.

Despite the significant advantages, mortgages also have a number of shortcomings:

1. Getting a mortgage can be quite difficult. Many credit institutions check borrowers so thoroughly that it becomes difficult to get a positive decision.
2. High amount of overpayments. Due to the long-term mortgage, it may be equal to the original loan amount.
3. The owner has limited rights to dispose of the collateral property.
4. The loan repayment period is usually quite long. Not everyone is ready to make impressive payments every month for 10-30 years.
5. There is a risk of losing your apartment. If for some reason the borrower does not fulfill his obligations under the mortgage, the bank has the right to take the collateral through the court or sell it at auction.

Statistics show that no more people can afford to buy a home with a mortgage. 5 % of Russian citizens. At the same time, most of them apply for loans on preferential terms.

2. Is there a difference between the concepts of mortgage and mortgage loan? 📊

Most citizens cannot afford to buy an apartment in cash. This is why statistics show that more 50 % All real estate transactions are carried out through mortgage loans. We wrote in more detail about and how to act correctly when buying a home on credit in a previous article.

Not everyone knows what the concept mortgages And mortgage loan unequal.

Mortgage- this is an important component of the mortgage system, which involves the bank issuing a loan secured in the form of real estate collateral.

It turns out that when issuing a loan, a banking organization, in order to guarantee the return of the funds issued, formalizes the purchased apartment as collateral. It is the real estate purchased with borrowed funds that acts in the situation described above. mortgage.

Under mortgage understand a certain form of collateral. In this case, the acquired property belongs to the debtor and is used by him, but an encumbrance is imposed on it.

It turns out that if the debtor refuses to make payments on the loan, the creditor has the right to sell the property in order to return the funds issued as a loan.

Overview of the main types of mortgage lending in Russia

3. Main types of mortgages and mortgage lending 📑

Today, mortgage lending is the only way to solve the housing problem for many. Therefore, the demand for this financial service is constantly increasing.

In such conditions, banks, in order to attract as many clients as possible, release everything to the market new programs. At the same time, a huge number of clients not only find it difficult to decide which program will be optimal for them, but also have no idea what their fundamental differences are.

Mortgage loans – the concept is multifaceted, therefore, depending on various characteristics, a large number of classifications are distinguished:

• by purpose of lending;
• depending on the loan currency;
• by type of real estate to be purchased;
• according to the method of calculating monthly payments.

This is not a complete list, and each classification has the right to exist.

Some experts prefer to highlight mortgage groups , based on its definition as mortgage of real estate.

Based on this principle, two groups can be distinguished:

1. mortgage secured by existing real estate;
2. Much more often, loans are taken out by those who have nothing, so a loan secured by the property being purchased is more popular.

If a mortgage is issued using the first method, the borrower receives the following benefits:

• lower rate;
• possibility of misuse of funds.

When applying for a mortgage secured by the purchased property On the contrary, the loan is of an exclusively targeted nature. That is, you cannot buy anything with the money received except an apartment; moreover, it must be approved by the bank. Read about how to take it in a separate article.

Today, a huge number of credit institutions coexist in the market. Naturally, this leads to huge competition.

Each bank strives to develop several mortgage lending programs, which will be unique and will be popular among borrowers.

Loan programs are called differently, but most often the names reflect method of obtaining or target. In the first case the names are more of an advertising nature. In the second– they reflect the real purpose of the mortgage.

According to the purpose of design, it is customary to distinguish:

1. Loan for purchasing an apartment on the secondary market one of the most common today. He is characterized optimal conditions, favorable interest rate. In addition, this type of mortgage is different fast processing. Many banks offer several types of mortgage loans for the purchase of housing on the secondary market, according to which certain benefits are offered to certain groups of borrowers.
2. Mortgage loan for real estate under construction makes it possible to purchase housing at the time of its construction. It should be understood that the developer must be accredited by the loan issuing organization. In this case, the bank faces not only the risk of non-repayment, but also the probability that the construction will not be completed. Therefore, according to such programs highest rate. Naturally, this leads to an increase in overpayment. However, there is also a plus for the borrower - an apartment can be purchased at a much lower cost.
3. Mortgage for building a house issued to those who have land. This loan allows you to build a private house.
4. Loan for the purchase of country real estate allows you to become an owner townhouse, country house, land plot or cottage. There are offers on the market developed by credit institutions with the support of developers. Such programs provide the opportunity to buy residential properties in environmentally friendly areas at reasonable prices.

It turns out that in order to make it easier for the borrower to choose among the variety of mortgage programs, he should decide what property he will use as collateral.

After this, in a bank branch, on its website or on online resources for searching for loans, you must select a program that matches goals. That is, you should take into account those programs that allow you to purchase the desired type of real estate.

Mortgage lending programs for young families, state employees, civil servants, young professionals

4. Special mortgage lending programs - review of the TOP 4 mortgage programs 📝

In Russia there are not only standard (basic) mortgage programs, for which anyone can apply, but also special aimed at helping certain categories of citizens purchase housing. A distinctive feature of such a mortgage is support from the state.

1) Mortgage with state support

The purpose of mortgage lending with government support is to help solve housing problems, which is intended for socially vulnerable citizens.

These include:

• families with many children;
• citizens raised in orphanages;
• low-paid public sector workers;
• disabled people;
• other categories of citizens who are unable to purchase housing without state assistance.

To take advantage of the opportunity to obtain a social mortgage, citizens must be placed in queue to improve living conditions.

There are several types of assistance provided by the state:

• a subsidy that can be used both to repay the existing mortgage and to make a down payment;
• lower interest rate on mortgage loan;
• sale of real estate on credit at a reduced cost.

A citizen does not have the right to independently choose which assistance he prefers. This decision is made by local authorities.

2) Military mortgage

For military personnel who take part in the savings-mortgage system program, there is an opportunity to use the program to purchase apartments "Military mortgage" . Such lending is carried out with support from the state.

They transfer it to a special account for the military man subsidies, which are intended for the purchase of residential real estate. At the same time, with 2016 year, the military had the opportunity to choose the region of purchase of housing, as well as the type of property.

3) Mortgage for a young family

Another type of social mortgage is a mortgage for a young family. This program was planned to end in 2015 year. However, the conditions were edited and the mortgage for the young family was extended. It is currently planned that the program will operate until 2020 of the year.

Families that meet the following requirements are eligible to take advantage of this type of mortgage:

• one of the spouses is younger 35 years;
• official recognition of a family as in need of improved housing conditions.

The program provides the opportunity to use subsidized funds as a mortgage loan payment. At the same time, the maximum amount of state assistance is 30 % of the cost of housing.

4) Mortgage for young professionals

This program is designed to help with the purchase of housing employees budgetary spheres, whose age does not exceed 35 years. One of the programs in this category is “Home for Teachers”.

Those planning to take advantage of the social mortgage program should know that in addition to federal programs are available and special programs in the regions developed by local authorities. It is in these organizations that you can learn about existing programs.

Condition 8. Mortgage interest rate

On average, the interest rate in Russian banks is 12 -14% in year.

More favorable conditions apply to regular customers of the bank, as well as to those applying for a mortgage social programs.

Clients should be attentive to those banks that offer a mortgage at a lower interest rate. Often in these cases there are inflated commissions.

Condition 9. Payment procedure

Theoretically there is 2 monthly payment options:

1. differentiated;
2. annuity payments.

In the first case the payment amount is gradually being reduced, in the second– payment is made in equal amounts.

In Russia, the most popular scheme is using annuity payments. This is what most banks offer.

Condition 10. Insurance premiums

Russian legislation provides for the obligation to insure mortgage loans. But banks often introduce conditions for additional insurance.

They introduce a condition to insure in loan programs client's life, his ability to work, and mortgaged property. In this case, it is best to choose comprehensive insurance , since its cost will be lower.

Thus, there are a number of mortgage lending conditions that the borrower must become familiar with at the stage of choosing a bank.

Calculating your mortgage (mortgage loan amount) using an online calculator

8. How to calculate a mortgage online - an example of calculating the amount of a mortgage loan 💻💸

Already at the stage of deciding to buy a home with a mortgage, future borrowers wonder what the size of the monthly payments will be and how much the overpayment will ultimately be.

Most large banks provide everyone with the opportunity to independently make all the necessary calculations using mortgage calculator in mode online . However, certain difficulties often arise.

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